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My PC broke down yesterday and I rang PC World who will send an engineer around a week today (2nd May). It is still under extended insurance so it should still be free, because far as I know I haven't done anything. Do you think I am right that this should be free?

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Depends entirely on the definition of "broke down." If the hardware is broken, it's usually their fault. If the computer has become infected and inoperable due to malware that you allowed onto the system through ignorance or inattention, then it's your fault. Computer parts do fail. Operating systems also fail. But in this time of exploits, viruses, spyware, adware, rootkits, malicious alternate data streams and the like, you have the responsibility to protect your computer.